Study on Dual Channel Supply Chain Inventory Strategy with Channel Preference

Abstract

Abstract: When conducting both online sale and conventional retail, manufacturers need to coordinate the logistics conflict between these two channels. In considering consumer channel preference, the dual channel supply chain system is analyzed and an inventory decision-making quantitative model is built. Based on this model, simulation is made by using Matlab. Results indicate that as demand uncertainty increases, manufacturers and retailers increase their inventory and suffer a loss of profit, while the increase of online channel preference rate can result manufacturers inventory increase, which results in the profit decrease of retailers and the supply chain.

Key words: dual channel, inventory strategy, channel preference

Li Li, Liu Xin, Yan Yan. Study on Dual Channel Supply Chain Inventory Strategy with Channel Preference[J]. Industrial Engineering Journal , 2013, 16(3): 45-49.

References

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